Letting Losses GrowOne of the defining characteristics of successful investors and traders is their ability to take a small loss quickly if a trade is not working out and move on to the next trade idea. Unsuccessful traders, on the other hand, can become paralyzed if a trade goes against them. Rather than taking quick action to cap a loss, they may hold on to a losing position in the hope that the trade will eventually work out. A losing trade can tie up trading capital for a long time and may result in mounting losses and severe depletion of capital.$BlackBerry(BB)$$AMC Entertainment(AMC)$$NIO Inc.(NIO)$

Averaging Down or UpAveraging down on a long position in a blue-chip stock may work for an investor who has a long investment horizon, but it may be fraught with peril for a trader who is trading volatile and riskier securities. Some of the biggest trading losses in history have occurred because a trader kept adding to a losing position, and was eventually forced to cut the entire position when the magnitude of the loss became untenable. Traders also go short more often than conservative investors and tend toward averaging up, because the security is advancing rather than declining. This is an equally risky move that is another common mistake made by a novice trader.$NASDAQ(.IXIC)$$DJIA(.DJI)$

Not Using Stop-Loss Orders A big sign that you don't have a trading plan is not using stop-loss orders. Stop orders come in several varieties and can limit losses due to adverse movement in a stock or the market as a whole.1 These orders will execute automatically once perimeters you set are met.Tight stop losses generally mean that losses are capped before they become sizeable. However, there is a risk that a stop order on long positions may be implemented at levels below those specified should the security suddenly gap lower—as happened to many investors during the Flash Crash. Even with that thought in mind, the benefits of stop orders far outweigh the risk of stopping out at an unplanned price.A corollary to this common trading mistake is when a trader cancels a stop order on a losing

Long term investment have more benefits than short term investment. It removes noise and emotion in the market. As long as you invest in companies that have strong fundamentals and good cash flow, you should see your portfolio grows over the time. Unless you like gambling…Short term investment involve risk similar to gambling. It's suitable for people who likes to take risk and to make money fast. Short term investment also require more screen time. However, long term investment requires patience and lesser screen time. Lesser volatilityInvestment held for longer periods tend to show less noise. It always outperform market (If you invest in good companies) and prevent you from missing those good times. Paying less taxes and commissionsIf you are an active trader, you have to pay more taxes

Ignoring Risk AversionDo not lose sight of your risk tolerance or your capacity to take on risk. Some investors can't stomach volatility and the ups and downs associated with the stock market or more speculative trades. Other investors may need secure, regular interest income. These low-risk tolerance investors would be better off investing in the blue-chip stocks of established firms and should stay away from more volatile growth and startup companies shares.Remember that any investment return comes with a risk. The lowest risk investment available is U.S. Treasury bonds, bills, and notes. From there, various types of investments move up in the risk ladder, and will also offer larger returns to compensate for the higher risk undertaken. If an investment offers very attractive returns, als

Forgetting Your Time HorizonDon't invest without a time horizon in mind. Think about if you will need the funds you are locking up into an investment before entering the trade. Also, determine how long—the time horizon—you have to save up for your retirement, a downpayment on a home, or a college education for your child.If you are planning to accumulate money to buy a house, that could be more of a medium-term time frame. However, if you are investing to finance a young child's college education, that is more of a long-term investment. If you are saving for retirement 30 years hence, what the stock market does this year or next shouldn't be the biggest concern.Once you understand your horizon, you can find investments that match that profile.$S&P500

Not Regaining BalanceRebalancing is the process of returning your portfolio to its target asset allocation as outlined in your investment plan. Rebalancing is difficult because it may force you to sell the asset class that is performing well and buy more of your worst-performing asset class. This contrarian action is very difficult for many novice investors.However, a portfolio allowed to drift with market returns guarantees that asset classes will be overweighted at market peaks and underweighted at market lows—a formula for poor performance. Rebalance religiously and reap the long-term rewards. $Tesla Motors(TSLA)$$AMC Entertainment(AMC)$$Meta Platforms, Inc.(FB)$

Chasing After PerformanceMany investors or traders will select asset classes, strategies, managers, and funds based on a current strong performance. The feeling that "I'm missing out on great returns" has probably led to more bad investment decisions than any other single factor.If a particular asset class, strategy, or fund has done extremely well for three or four years, we know one thing with certainty: We should have invested three or four years ago. Now, however, the particular cycle that led to this great performance may be nearing its end. The smart money is moving out, and the dumb money is pouring in.$NASDAQ(.IXIC)$$S&P 500(.SPX)$$Tesla Motors(TSLA)$

While traders and investors use two different types of trading transactions, they often are guilty of making the same types of mistakes. Some mistakes are more harmful to the investor, and others cause more harm to the trader. Both would do well to remember these common blunders and try to avoid them.No Trading PlanExperienced traders get into a trade with a well-defined plan. They know their exact entry and exit points, the amount of capital to invest in the trade and the maximum loss they are willing to take.Beginner traders may not have a trading plan in place before they commence trading. Even if they have a plan, they may be more prone to stray from the defined plan than would seasoned traders. Novice traders may reverse course altogether. For example, going short after initially buyi

$Johnson & Johnson(JNJ)$J&J says its single-shot vaccine is uniquely positioned to play a vital role in saving lives in the U.S. and around the world, because many people refuse a second or booster shot. In addition, J&J's coronavirus vaccine can be stored and moved at a higher temperature than the messenger RNA vaccine, making it easier to spread in low- and middle-income countries. 

$Tesla Motors(TSLA)$$Ford(F)$$General Motors(GM)$Daiwa Securities analyst Jairam Nathan is pessimistic about the EV industry's prospects for 2022. Nathan said slower earnings growth at automakers, transition risks in electric vehicles and tighter monetary conditions have led him to be conservative about the industry as a whole. Nathan predicts demand will weaken in 2022 because of high car prices and the Fed is tapering, followed by interest rate hikes. Most people borrow money to buy cars, and higher interest rates make buying cars more expensive. 

$Netflix(NFLX)$There are naturally negative implications to price cuts, but India has always been a unique market requiring aggressive rate sheets. It may be the world's second-most populous country, but premium pricing is a challenge if you want to go mainstream. The reason why average revenue per user for $Walt Disney(DIS)$'s streaming service is lower now than it was a year ago is because a lot of its subscriber growth has come from its Disney+ Hotstar platform in India. The timing of the Netflix price cut in India is also interesting. $Amazon.com(AMZN)$had previously announced that the monthly price for its video streaming service was going to rise 39% to $2.35 on Tues

$Meta Platforms, Inc.(FB)$$Apple(AAPL)$$Alphabet(GOOG)$Stanford is taking the lead in offering the first Metaverse Course. The design of the course is interesting: it puts more emphasis on learning by doing, requiring students to experience and participate more in VR scenarios, even designing their own. The core of this course is to enable students to experience things they used to only learn in books in a new, virtual, interactive environment. 

$Apple(AAPL)$is apparently developing two new projects that have markets talking: autonomous vehicles and virtual reality (VR). These are a big part of Morgan Stanley's renewed confidence in the company. Reasonably so.Morgan Stanley analysts spoke to more than 40 venture capitalists, who emphasized the impact Apple has on product adoption. Areas like VR are still functionally in their infancy. A premium, vertically integrated brand like Apple vouching for its legitimacy could bolster overall interest dramatically.There has also been a change of fortune as it pertains to the iPhone 13. While it largely underperformed early in the year, sales can be expected to rebound amid news of lessening supply constraints. J.P. Morgan also cited the launch of a ne

$NVIDIA Corp(NVDA)$Short-term downside will be tolerable because there's a lot of incremental buyers that still love this company but let it go because sometimes valuations get too high. My point is if you believe in the technology, there's going to absolutely be volatility because its been like this forever, but its a part of the investment -- nothing goes straight up. Its hard to stomach sometimes but its part of the game and smart, well-run companies are going to make it in USA like nowhere else in the world.

U.S. stocks rebounded on Friday, and $S&P 500(.SPX)$closed a new high. The $DJIA(.DJI)$ended its four-week streak. The IT sector led the gains by more than 2%, and rose by 6% for the week. $Apple(AAPL)$and $Microsoft(MSFT)$rose by 2.8%, and $Ford(F)$rose by more than 9%, a two-year high. $Moderna, Inc.(MRNA)$fell more than 5%. The pan-European stock index fell three times in a row but recorded the largest weekly gain in eight months. Daimler fell more than 10% and closed up nearly 3%. The travel sector rose more than 5% in a week. The yields of the US d

$Meta Platforms, Inc.(FB)$$Apple(AAPL)$$Microsoft(MSFT)$NFT will be the focus of attention in the early days of the metaverse.NFT is unique, scarce, indivisible and non-exchangeable. Therefore, NFT can correspond with virtual goods one by one to realize the capitalization of virtual goods. Currently, NFT, based on blockchain technology, can provide a unique "identity card" for goods, which helps reduce the transaction cost of goods. In the longer term, NFT will enable the establishment of a metaverse economic system.